IRMD
IRadimed Corporation
$82.22
Platform & Compounding FCF
85%
Two-stage FCF DCF
Strong
·
Conviction
Overvalued
Trading 49.5% above fair value
You pay
$82.22
Bear
$32.50
Fair
$54.98
Bull
$82.78
Bear
$32.50
-60.5%
12% stage 1 growth, 11% discount
Fair
$54.98
-33.1%
19% stage 1 growth, 11% discount
Bull
$82.78
+0.7%
25% stage 1 growth, 11% discount
Adjust Assumptions
19.3%
11.0%
3.0%
Key Value Driver
FCF growth rate (19% base case)
Terminal Value % of EV
46%
Implied Market Multiple
66.7x
Market is pricing in (growth)
25.0%
vs 19.3% base
Summary
Using a two-stage FCF DCF with 19% growth decelerating over 15 years, discounted at 11%, the base-case intrinsic value is $54.98 per share.
Key Risks
- P/E alone misleads — earnings depressed by growth investment
- Cyclical or commodity businesses may be misclassified as platforms
- Terminal value dominance suggests sensitivity to long-run assumptions